2 min read.Updated: 21 Jul 2021, 02:06 PM ISTLivemint
Glenmark Life IPO will open for subscription on July 27 and close on July 29
Glenmark Life Sciences Limited, a manufacturer of select high value, non-commoditized active pharmaceutical ingredients (APIs) in chronic therapeutic areas, is planning to launch its initial public offering (IPO) next week on July 27, 2021. Its IPO size has been reduced as it will now consist of a fresh issue of ₹1,060 crore and offer for sale (OFS) of up to 63 lakh shares by its promoter Glenmark Pharma. Reports suggest that the company aims to raise ₹1,515 crore through its share sale.
The IPO will open for subscription on July 27 and close on July 29
The price band of the offer has been fixed at ₹695 to ₹720 per equity share. Bids can be made for a minimum of 20 Equity Shares and in multiples of 20 Equity Shares thereafter.
The Offer consists of equity shares of face value of ₹2 each of Glenmark Life comprising a fresh issue of up ₹1,060 crore and an offer for sale of up to 6,300,000 equity shares by its promoter, Glenmark Pharmaceuticals.
Not more than 50% of the offer will be available for allocation on a proportionate basis to Qualified Institutional Buyers (QIBs)
Further, not less than 15% of the Offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Offer shall be available for allocation to Retail Individual Bidders
Net proceeds aimed to be utilized towards (i) Payment of outstanding purchase consideration to the Promoter for the spin-off of the API business from the Promoter into the Company pursuant to the Business Purchase Agreement dated October 9, 2018; (ii) Funding the capital expenditure requirements; and (iii) General corporate purposes.
Reports suggest that the company aims to raise ₹1,515 crore through its IPO.
Kotak Mahindra Capital Company, BofA Securities India and Goldman Sachs (India) Securities Private Limited are the global co-ordinators and Book Running Lead Managers to the Offer. DAM Capital Advisors Limited (Formerly known as IDFC Securities Limited), BOB Capital Markets Limited and SBI Capital Markets Limited are the Book Running Lead Managers to the Offer.
For the year ended March 31, Glenmark Life had revenues of ₹1,537 crore and net profit of ₹314 crore.
The shares are proposed to be listed on BSE and NSE and the expected date of its debut on August 6, 2021.